2023-10-31-accounts

Registered number: 07810467 Charity number: 1156999

Adur and Worthing Trust Limited

(A company limited by guarantee)

Unaudited

Trustees' report and financial statements For the year ended 31 October 2023

Adur and Worthing Trust Limited

(A company limited by guarantee)

Contents

	Page
Reference and administrative details of the Company, its Trustees and advisers	1
Trustees' report	2 - 3
Trustees' responsibilities statement	4
Independent examiner's report	5
Statement of financial activities	6
Balance sheet	7
Notes to the financial statements	8 - 14

Adur and Worthing Trust Limited (A company limited by guarantee)

Reference and administrative details of the Company, its Trustees and advisers For the year ended 31 October 2023

Trustees	N J Pressley, Treasurer
	P Bennett
	S Dare (resigned 1 July 2023)
	K Simporis
	T Gillham
	A Shaw
	M Pailthorpe (appointed 1 July 2023)
Company registered number 07810467 Charity registered number 1156999 Registered office 25 Church Street Shoreham By Sea West Sussex BN43 5DQ Accountants Kreston Reeves LLP Chartered Accountants 9 Donnington Park 85 Birdham Road Chichester West Sussex PO20 7AJ

Page 1

Adur and Worthing Trust Limited

(A company limited by guarantee)

Trustees' report For the year ended 31 October 2023

The Trustees present their annual report together with the financial statements of the company for the year to 31 October 2023. The Trustees confirm that the Annual Report and financial statements of the company comply with the current statutory requirements, the requirements of the company's governing document and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

Since the company qualifies as small under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required.

OBJECTIVES

The objects of the Trust are the advancement of arts, culture and heritage for the public benefit in the District of Adur and the Borough of Worthing.

The Trustees have had due regard to the Charity Commission's guidance on public benefit and are satisfied that the charity meets the definition of a public benefit entity.

ACTIVITIES FOR ACHIEVING OBJECTIVES

The major activity of the Trust continues to be the operation of Colonnade House (CH) in partnership with Worthing Borough Council (WBC). CH provides a creative hub and studio space for those involved in creative work and are selected against criteria that match the aims of the project.

The other main activity is the making of grants for creative commissions. Grants of £6,375 (2022: £8,225) were awarded in the year and a similar amount will be granted in the 2024 programme.

FINANCIAL REPORT AND ACTIVITIES REVIEW

The statement of financial activities on page 6 shows a surplus of £432 compared to £1,304 for the previous year. Total unrestricted funds increased to £56,514 (2022: £56,082).

There was a reduction in rental income from £44,571 to £35,412 as the occupancy rate fell. However gallery hire increased from £8,198 to £14,507 so there was little change in total income.

A surplus on the major activity of £6,807 (2022: £9,529) was sufficient to cover the grant programme.

The insurance claim for losses resulting from the car crashing into the windows has still not been settled.

There will be a significant increase in costs in the year to 31 October 2024 as rent payable will increase further and there has been an agreement with WBC to contribute £9,000, including VAT, to staff salaries. Rental income is projected to increase by around £4,000, but it is expected that a loss will be incurred.

FUTURE DEVELOPMENTS

The hoped for expansion and development will not take place, but the existing CH will be retained, and a grant application has been made to Arts Council England to fund improvements for creative and cultural purposes as well as commercial ones.

GOING CONCERN

After making appropriate enquiries, the trustees are satisfied that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.

Page 2

Adur and Worthing Trust Llmited company limited by guarantee) Trusteès, report {continuedl For the year ended 31 October 2023 FINANCIAL RISK MANAGEMENT The risk to the Trust was that il would be exposed lo increased costs if rent and s*'ry costs were charged by WBC. The decision lo only Charge rent means that CH can trade profitsbly, RESERVES POLICY Sufficient reserves have now been built up to ensure that the Trust can operate CH wth sufficient level of security and sustain ils grant making programme. If the expanded digitsl and creative hub is developed. the trustees will consider investing some part of its reserves in further cultural and creative development. STRUCTURE. GOVERNANCE AND MANAGEMENT The company is registered as a charitable company IiTnited by guarantee and constittjted under a Memorandum of Associats'on. 11 is a registered charity number 11 $6999. The management of the company is the responsibility of the Trustees who are elected and c(popted under the temis of the Arti'cles of Association. Approved by order of the members of the board of Trustees and signed on their behalf by.. NJP ssley Date.. flk-l J Page 3

Adur and Worthlng Tfust Limited {A"company Ilmited by guarantee) Statement of Trust8es' responslbllltle5 For the year endgd 31 October 2023 The Tnjstees (who are also the directors of the Company for the purposes of company14are responsible for preparing the Trustees, report and the financial statements in accordance wth appllcable law and United Kingdom Accounting Standards (United Kingdom Genprally Accepted Accounting Pracb'cek Company law requires the Trustees to prepare financial statements for each financial .Knder company law, the Trustees Must not approve the financial statement5 unless they are satisfied that Ihey4give a true and fair view of the state of affairs of the Company and of its incoming resources and applicats'on of resources. including ils in￿rne and expenditure, for that period. In preparing these financial slatemenls, the Trustees a equired lo.. select suitable accounting policies and then apply them consislenlly., observe the methods and principles of the Charities SORP IFRS 1021.. make judgments and accounting estimates that are reasonable and prudent., slate whether applicable UK Accounting Standards IFRS 1021 have been followed. subject to any material departures disclosed and explained in the financial statements., prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business. The Trustees are responsible for keeping adequate accounling records that are sufficient lo show and explain the Companls transactions and disclose with ￿asonable accuracy at any time the financial position of the Company and enable them to ensure that the financial slalemenls comply wth the Companies Act 2006. They are also responsible for safeguarding the assets of the Compafiy and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Approved by order of the members of the board of Trustees and signed on ils behatf by: Pressley Date.. Page 4

Adur and Worthing Trust Limited

(A company limited by guarantee)

Independent examiner's report

For the year ended 31 October 2023

Independent examiner's report to the Trustees of Adur and Worthing Trust Limited ('the Company')

I report to the charity Trustees on my examination of the accounts of the Company for the year ended 31 October 2023.

Responsibilities and basis of report

As the Trustees of the Company (and its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the Company's accounts carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

2. the accounts do not accord with those records; or

3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination; or

4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

This report is made solely to the Company's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Company's Trustees those matters I am required to state to them in an Independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Company and the Company's Trustees as a body, for my work or for this report.

Signed: Dated: 2 May 2024

Lucy Hammond, BSc FCA

Kreston Reeves LLP Chartered Accountants 9 Donnington Park 85 Birdham Road Chichester, PO20 7AJ

Page 5

Adur and Worthing Trust Limited

(A company limited by guarantee)

Statement of financial activities (incorporating income and expenditure account) For the year ended 31 October 2023

Note Income from: Charitable activities 3 Total income Expenditure on: Charitable activities Total expenditure Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward	Unrestricted funds 2023 £ 61,044 61,044 60,612 60,612 432 56,082 432 56,514	Total funds 2023 £ 61,044 61,044 60,612 60,612 432 56,082 432 56,514	Total funds 2022 £ 64,013
			64,013
			62,709
			62,709
			1,304
			54,778 1,304
			56,082

The Statement of financial activities includes all gains and losses recognised in the year.

The notes on pages 8 to 14 form part of these financial statements.

Page 6

Adur and Worthing Trust Limitèd ' IA company limitad by guarante81 Registgr•d numbor: 07810467 Balance shg¢t As at 31 October 2023 2023 2022 Note Currént assets Debtors Cash al bank and In hand 10,841 54.075 32 57 57. 64,916 67,189 Creditors.. amounls falling due within one year 18.402) 111.1071 Net curr8nt assets 56.514 56.082 Totsl net assets 56,514 56,082 CharSty fund5 Unrestricted funds 10 56,514 56,082 Total funds 56.514 56.082 The Company was entitled lo exemption from audit under section 477 of the Companies Ad 2006. The members have not required the company to oblaig an audrt for the year in question in 8ccordan¢e wth seth.on 476 of Companies Act 2006. The Trustees aCknO￿edge their responsibilities for complwng with the requirements of the Act with respect to accounting records and preparation of financial stslemenls. The financial slalements have been prepared in accordance with the provislons applicable to entities subject to the small companies regime. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by-. e5sley Dale.. 30 flhl XL)X* The notes on pages 8 to 14 form part of these financial slatemenls. Page 7

Adur and Worthing Trust Limited (A company limited by guarantee)

Notes to the financial statements For the year ended 31 October 2023

1. General information

Adur and Worthing Trust Limited is a private limited company limited by guarantee and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member.

The registered address of the charitable company is 25 Church Street, Shoreham By Sea, West Sussex BN43 5DQ.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Adur and Worthing Trust Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

2.2 Going concern

The charity is presumed to be carrying on business as a going concern. The Trustees have assessed the going concern of the charity and are satisfied that they are well placed to be able to operate for the next 12 months and beyond.

2.3 Income

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

2.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the charity's objectives, as well as any associated support costs.

All expenditure is inclusive of irrecoverable VAT.

2.5 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Page 8

Adur and Worthing Trust Limited (A company limited by guarantee)

Notes to the financial statements For the year ended 31 October 2023

2. Accounting policies (continued)

2.6 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

2.7 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.

2.8 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

3. Income from charitable activities

Rental income Gallery hire Recharged costs Pop up shop income Total 2023	Unrestricted funds 2023 £ 35,412 14,507 10,674 451 61,044	Total funds 2023 £ 35,412 14,507 10,674 451
		61,044

Page 9

Adur and Worthing Trust Limited (A company limited by guarantee)

Notes to the financial statements For the year ended 31 October 2023

3. Income from charitable activities (continued)

Rental income Gallery hire Recharged costs Pop up shop income Total 2022	Unrestricted funds 2022 £ 44,571 8,198 10,541 703 64,013	Total funds 2022 £ 44,571 8,198 10,541 703
		64,013

During 2023 and 2022 £nil of the income from charitable activities was restricted.

4. Analysis of expenditure by activities

Provision of space direct costs Small commission grants - to individuals Support costs Provision of space direct costs Small commission grants - to individuals Small commission grants - to institutions Support costs	Unrestricted funds 2023 £ 51,649 6,375 2,588 60,612 Unrestricted funds 2022 £ 51,047 7,925 300 3,437 62,709	Total funds 2023 £ 51,649 6,375 2,588
		60,612
		Total funds 2022 £ 51,047 7,925 300 3,437
		62,709

Page 10

Adur and Worthing Trust Limited (A company limited by guarantee)

Notes to the financial statements For the year ended 31 October 2023

5. Analysis of direct costs

Establishment expenses Cleaning Insurance Rates / Utilities Rent Repairs and maintenance Other operational expenses Advertising Bad debt write off Professional services Sundry expenses Telephone Bank charges Tenant operational costs Legal costs Total direct costs	2023 £ 3,535 1,902 7,551 29,033 3,222 2,061 - 586 - 2,065 127 1,567 - 51,649	2022 £ 3,442 2,471 5,477 26,000 7,673 1,265 (94) 361 85 2,147 - 1,220 1,000
		51,047

All of the support costs in the year relate to Governance costs £2,588 (2022: £3,437).

During 2023 and 2022 there was no restricted expenditure in establishment or other operational expenses.

6. Independent examiner's remuneration

The independent examiner's remuneration amounts to an independent examiner fee of £2,460 ( 2022 - £2,937 ) , and other accountancy services of £388 (2022 - £500).

7. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2022 - £NIL).

During the year ended 31 October 2023, no Trustee expenses have been incurred (2022 - £NIL).

Page 11

Adur and Worthing Trust Limited (A company limited by guarantee)

Notes to the financial statements For the year ended 31 October 2023

8. Debtors

Trade debtors Prepayments and accrued income	2023 £ 2,103 8,738 10,841	2022 £ 2,064 7,868
		9,932

9. Creditors: Amounts falling due within one year

Tenant deposits held Accruals and deferred income Small commissions grants payable	2023 £ 2,698 4,504 1,200 8,402	2022 £ 3,325 5,784 1,998
		11,107

Deferred income relates to rent received in advance and deposits for future exhibitions.

Page 12

Adur and Worthing Trust Limited (A company limited by guarantee)

Notes to the financial statements For the year ended 31 October 2023

10. Statement of funds

Statement of funds - current year

Unrestricted funds Statement of funds - prior year Unrestricted funds	Balance at 1 November 2022 £ 56,082 Balance at 1 November 2021 £ 54,778	Income £ 61,044 Income £ 64,013	Expenditure £ (60,612) Expenditure £ (62,709)	Balance at 31 October 2023 £ 56,514
				Balance at 31 October 2022 £ 56,082

11. Related party transactions

There have been no related party transactions in the year that require disclosure under the Charities SORP (FRS 102).

Page 13

Adur and Worthing Trust Limited (A company limited by guarantee)

Notes to the financial statements For the year ended 31 October 2023

12. Operating lease commitments

At 31 October 2023 the Company had commitments to make future minimum lease payments under noncancellable operating leases as follows:

			2023	2022
			£	£
Not later than	1	year	7,800	6,500

The following lease payments and changes in lease payments have been recognised in the Statement of financial activities:

Operating lease rentals	2023 £ 29,033 29,033	2022 £ 26,000
		26,000

Page 14